2001 gaerling paving the way for ev

8/4/2019 2001 Gaerling Paving the Way for EV

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VINNOVA Rapport 2001:1

Paving the Way forthe Electric Vehicle

Anita Grling

Chalmers University of Technology


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Vinnova Rapport 2001:1 ISBN 91-89588-00-2 ISSN 1650-3104

KFB Dnr 1998-111 och 1999-763

I VINNOVAs publikationsserier redovisar forskare sina projekt.Publiceringen innebr inte a VINNOVA tar stllning till framfrda sikter,

slutsatser och resultat.


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PAVING THE WAY FOR THE ELECTRIC VEHICLE

Anita GrlingWater Environment Transport

Chalmers University of Technology

Final report

January 2001


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Abstract

Urban areas worldwide have long suffered from air pollution problems due to

condensed population and high vehicle use. With no tailpipe fumes or engine oil drips, silence

of operation, easiness of maintenance, and high-energy efficiency the electric vehicle (EV)

makes an appealing solution to this problem. However, compared to conventional cars the EV

still has inferior operating performance, longer refuelling time, higher purchase price, and

lacks a well-developed infrastructure, which give great concern for the acceptance of the EV.

In this report the acceptance of EVs is studied using three different marketing strategies; an

Internet-based multi-media marketing strategy, the M-EV99 program, showroom visits, and

free trials. I is suggested that using an Internet-based strategy early on in the marketing

process could be useful in making people aware of, and in stirring up an interest in, the

electric alternative. However, to actually adopt, or buy, a new product such as the EV more is

needed than favourable responses elicited by a marketing program. In the showroom visits

and in the free trials, which both gave subjects hands-on experience with a specific EV, the

Renault Clio Electrique, it was shown that the subjects did not have any major problem in

using the EV. However, it was also shown that in the strategies in which the subjects got

hands-on experience with the Renault Clio Electrique the subjects' perception of the EV rather

decreased than increased.


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Brief contents

1. Introduction 4

2. Marketing communication strategies 5

2.1 M-EV99 5

2.2 Showroom visit 6

2.3 Free trial 7

3. Market segment I: Families with children 7

3.1 Using the M-EV99 9

3.2 Knowledge of EVs 10

3.3 Using the EV 10

3.4 Effects of marketing strategies 13

3.5 Summary 15

4. Market segment II: Owners of a conventional Renault Clio 16

4.1 Using the M-EV99 18

4.2 Knowledge of EVs 18

4.3 Using the EV 19

4.4 Effects of marketing strategies 21

4.5 Summary 22

5. Initial marketing segments 23

6. Conclusions 24

7. Acknowledgements 25

8. References 25


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1. Introduction

Urban areas worldwide have long suffered from air pollution problems due to

condensed population and high vehicle use. In addition to new emission standards, industry,

governments, and politicians are seeking more effective measures to reduce the air pollution

caused by conventional motor vehicles. With no tailpipe fumes or engine oil drips, silence of

operation, easiness of maintenance, and high-energy efficiency the electric vehicle (EV)

makes an appealing solution. However, these benefits come with high costs for the individual

buyer; compared to conventional cars the EV still has inferior operating performance, longer

refuelling time, higher purchase price, and lacks a well-developed infrastructure. On top of

this it does not solve other negative effects of vehicle use such as congestion, traffic

accidents, and the extensive use of land for roads and parking. This give great concern for the

acceptance of EVs on the market and it is obvious that the marketing of EVs not will be an

easy task.

When examining existing studies of acceptance of the EV technology (Fessel, 1995,

Chron & Zins, 1997) the conclusions most often are that there is a market for the EV as long

as the purchase price is reasonable. On the other hand, because of the EVs positive

environmental benefits some research even indicates that consumers might be willing to pay

more for an EV than for a conventional car (Urban et al, 1996). In either way, a successful

launching of the EV heavily depends on the initially used marketing communication strategy

and on the initially chosen market segment(s) given the importance of word-of-mouth

(Rogers, 1962).

Building on earlier research in forecasting the acceptance of EVs three marketing

communication strategies is in two different market segments compared on how EVs are

perceived (Urban et al, 1990, 1996). In the first an Internet-based multi-media marketing

program, M-EV99, is developed and used. This strategy is inexpensive, easy to access, andgives costumers good chances of finding personalized information. The second, showroom

visit, simulates closely the traditional car dealer situation. However, to adjust to new and

unknown products and/or services may take some time. Prolonged trial, like in the third

strategy, the free trial, to check out the compatibility of a new products attributes with own

behaviour might be crucial for an adoption. Perhaps, especially so when, as in the case of the

EV, new behavioural adjustments are needed. However, a drawback is that this strategy is

quite expensive in practice.


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2. Marketing communication strategies

2.1 M-EV99

A prototype of an Internet-based marketing tool, M-EV99, was designed for the

Swedish car market. The M-EV99 runs on a personal computer using Windows 98, or later

editions. It runs under Internet Explorer 5.0 in full screen mode and without visible menu

bars. The M-EV99 presents products through the use of different types of media and hidden

from the user it logs his or her search pattern. The output data consists of a record where time

spent on each page, order of accessed pages, and all keystrokes are recorded. The output data

is converted to SPSS file format for further analyses.

Figure 1. M-EV99, introduction and product pages.

Introduction page Product page

M-EV99 consists of an introduction page, a product page and six media pages (Figure

1). The user is free to explore the entire site without any other restrains than a 15 minutes time

limit.1 A 3-D free-floating navigation cube with links to media pages on each side is the main

control devise, which the subject uses to jump between pages. The user controls the

navigation cube with the mouse.2 By moving the mouse pointer within the surrounding area,

the spin of the cube is controlled. One left-click on the mouse results in a zooming in of the

1The time limit had the double purpose of increasing the realism of the experiment and encouraging the subjects

to finish without unnecessary delay.2 By using a navigation cube instead of a more ordinary menu, the dependence on top-down, left-right readingsis avoided and the number of pages needed reduced.


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chosen side and a double click results in a move to that side.

Three makes were included in the study: Fiat Seicento Elettra, Peugeot 106 Electric, and

Renault Clio Electrique. Hence, the M-EV99 program simulates more a large car dealer than a

producer. This gives the potential adopter an opportunity to collect comparative information

about competing makes, which is crucial in any real life adoption. The three cars are fairly

similar with respect to external and internal design, however. Furthermore, their performance

is similar in terms of driving range, recharging times, and price. Six different types of media

are used to present information about each car: a fact sheet, a newspaper article, a commercial

film, a showroom simulation,3 a taped statement by a car dealer, and a taped statement by an

owner of the car. The first two media are text-based, the next two visual-based, and the last

two audio-based. The information given within each media is comparable between cars. The

time needed to obtain available information on each side is also almost similar. It should be

noted, though, that some of the information given in M-EV99 is created solely for the purpose

of the study and is not necessarily identical with the information that would be given in a real

life situation.

The subject is first taught how to navigate with the mouse and then instructed to read

the introduction page. When the subject is ready he/she clicks the start button. A countdown

clock starts at the same time as the subject hits the product page. A click on one of the three

EVs takes the subject to the frame page, which consists of a left frame with the navigation

cube, a return link to the page with the three cars. The subject chooses one of six different

media types by rotating the navigation cube and double-clicking on the chosen side. He or she

is free to swap back and forth between cars and pages as long as the total time is not

exceeded. When the total time is out, a bell sounds and the program is shut down.

2.2 Showroom visit

To study if, and if so how, the length of the trial period effects the perception of the EV

the traditional form of the limited trial, the authentic showroom visit, was set up where trained

research assistants served as car dealers. The same text based information about the Renault

Clio Electrique as in the Internet marketing strategy was used and a short test-drive was

offered.

3 In the showroom simulation the viewer can turn an image of the car and look at it from any desired angle. Heor she can also open doors and look into the car and choose different colors of the car.


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2.3 Free trial

In the free trial strategy, subjects were lent a Renault Clio Electrique to be used for daily

transportation. The Renault Clio Electrique is a 4-seated 5-door car with a cargo capacity of

220 kg. It has a battery pack containing 19 rechargeable nickel-cadmium batteries and is

recharged in an ordinary electric outlet with a 10-Ampere fuse. Its factual driving range is 60

to 70 kilometres depending on driving style and topography, its maximum speed is about 90

kilometres per hour, and the recharging time from empty to full is about 10 hours (10 Ampere

fuse).

3. Market segment I: Families with children

From October 1998 to February 2000, car-owners from a random sample of 4,015 in the

metropolitan area of Gothenburg, Sweden were contacted by mail. The target person and her

or his possible partner were asked to fill out written questionnaires and mail them back.

Useful questionnaires were returned by 1,349 registered car-owners and by 569 spouses. The

last question in the questionnaire asked whether the subject was willing to participate in

further studies about EVs, to which 24,1% responded affirmatively. Only those younger than

60 years were contacted. Of those who gave their final consent, 42 families were given a

Renault Clio Electrique for a free 9-weeks trial. This group was drawn randomly from those

who were able to recharge an EV at home and who had children living at home. The objective

behind the latter requirement was that if these families who actually have the most

complicated travel patterns were able to use and favour an EV then the diffusion of this

vehicle technology into other family constellations should be even easier. Besides the age-

limitation, participants in the M-EV99 and the showroom visit groups were drawn completely

at random. Thirty subjects were exposed to the M-EV99 marketing program. Another 30 were

given a simulated showroom visit, including a test drive of a Renault Clio Electrique.Table 1 shows that the percentage of females in the M-EV99 study was smaller and the

percentage of families with children higher (to have at least one child in the family in the free

trial study was a requirement for participation) while the percentage of multi-car families was

higher among the free trials subjects.


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Table 1. Demographic characteristics of the subjects in Market segment I.

M-EV99 (n=30) Showroom (n=30) Free trial (n=84)

Age 43.6 40.9 41.5Females (%) 26.7 40.0 50.0

Families with children (%) 61.5 52.0 100.0

University degree (%) 43.3 53.8 51.9

Multi-car families (%) 30.0 23.3 59.2

Before taking part in the different marketing strategy groups the subjects

innovativeness and environmental concern were measured (Table 2).

Table 2. The background variables innovativeness and environmental concern.

Innovativeness

I would prefer to drive an alternative-fuelled car.

When I hear about alternative-fuelled cars I get interested in using one.

If a friend of mine drives an alternative-fuelled car I get interested in trying it.

I like to drive cars with new and unusual technologies.

I know about alternative-fuelled cars before others do.

Environmental concern

I believe that I should protect the environment.

I think that the environmental problems of our time are alarming.

Ordinary citizens must take responsibility for the environment.

I believe that it is important that people in general protect the environment.

I believe that the environmental problems of our time need regulation.

Table 3 shows that there were no significant differences in the background variables

innovativeness and environmental concern between the marketing strategy groups. Hence, for

all practical purposes the allocation of volunteers to strategy groups may be considered

random.


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Table 3. Background variables in Market segment I.

M-EV99 Showroom visit Free trial

Innovativeness1 (M) 3.3 3.2 3.1

Environmental concern2 (M) 8.2 8.0 8.1

1. Agree-disagree scales 1 to 5 with a higher number indicating a more favouring position.


3.1 Using the M-EV99

The M-EV99 presents products through the use of different types of media and hidden

from the user it logs his or her search pattern. Throughout the study the subjects are free to

use the program without any other restrictions than total time. The results show that the

number of times the three cars were chosen did not differ significantly, but most time was

spent on the Fiat (Table 4), presumably because Fiat was most often chosen first. This was

Table 4. Mean averages of hits and time (min:sec) spent on each site in Market segment I.

Fiat Peugeot Renault Totals

Hits Time Hits Time Hits Time Hits TimeText 2.4 1:48 2.2 1:26 2.1 1:27 2.2 1:34

Visual 1.4 1:24 1.2 0:53 1.3 1:13 1.3 1:30

Audio 1.5 1:27 1.6 1:24 1.7 1:33 1.6 1:28

Totals 1.8 1:33 1.7 1:34 1.7 1:24 1.7 1:31

probably a function of the Fiat being the left-most car on the page and, hence, being perceived

as first in line (in a culture where one reads from left to right) since the Fiat make when rank-

ordered was the next least favoured among 9 different makes. But most importantly, all

subjects sought information about all three makes. The most often chosen media type was

text-based and the most time was also spent on this type. Among the text-based media, fact

sheets were chosen most often, but the longest time was spent on newspaper articles.


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3.2 Knowledge of EVs

Before the EVs were handed over to the subjects their knowledge of the specific

product attributes of the EVs on the Swedish general car market. Questions posed were about

maximal top speed, recharging time, driving range, electricity cost per 10 kilometres, and

daily maintenance (Table 5). Four alternative answers and an I do not know alternative

were presented next to each question. The subjects were only allowed to choose one box. The

results show that the subjects, overall, not were very knowledgeable about EVs. Most

unrealistic were their perceptions of recharging time, driving range, and electricity cost. On

average the subjects believed that the recharging time was much shorter, the driving range

much longer, and the electricity cost much higher. Males were somewhat more

knowledgeable about EVs than females.

Table 5. Percentage of correct knowledge answers in Market segment I.

Knowledge items M-EV99 Showroom visit Free trial

Maximal top speed 44.8 50.0 35.8

Recharging time 20.1 10.0 13.4

Driving range 10.3 20.0 8.5

Recharging operation 79.3 60.0 73.1

Electricity cost 31.0 30.0 16.4

Daily maintenance 55.1 50.0 44.8

3.3 Using the EV

The total study period for the free trials was 11 weeks (Table 6). The subjects were

asked to log all trips made with their own cars during weeks 1 and 11, all trips with both own

cars and with the EVs during weeks 2, 6, and 7, and total travel distances with both own cars

and the EVs during weeks 3, 4, 5, 8, 9, and 10. They were also asked to use the EV as much

as they possible could and to refrain from using their own cars in week 6, except for

emergencies. Before the EVs were handed over to the subjects they were asked about their

expectations of the EV. The subjects expected to share the use of the EV equally between the

spouses and that the EV would differ from their own cars with respect to acceleration, top

speed, cargo capacity, and ability to fulfil their travel needs. On average the subjects expected


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that they would be able to drive 140 kilometres before recharging. Furthermore, most of the

subjects expected to have to adjust their transportation behaviour as well as their way of

driving to the specific product attributes of the EV.

Table 6. Mean average of driven kilometres and number of trips per car and week in Marketsegment I.

Car 1 Car 2 Car 3 Evs

Week km # Km # km # km #

1 292.5 17.9 137.5 7.2 1.9 0.1

2 184.7 7.9 75.0 4.2 1.8


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more than one car.In the sixth week, where the subjects were asked not to use their own car,

the use of the EVs increased with about 20% compared with the other free trial weeks. Hence,

the compliance with the request of not using own cars was rather modest.

Although the trips with the EVs were, on average, shorter than those with the subjects

own cars the EVs were used for all types of trips (Table 7). The most frequent trips were

work, chauffeuring, and shopping while vacation and weekend trips were among the most

infrequent. The number of chauffeuring, shopping, and service trips increased most when the

subjects got the EV.

Table 7. Average number of trips per type of car, weeks, and type of trip in Market segment I.

Own cars EVs

Week 1 and 11 Week 2, 6, and 7 Week 2, 6, and 7

Chauffeuring 4.9 2.3 4.1

Demonstration 0.2

Other 0.9 0.5 0.5

Shopping 4.9 2.3 4.0

Service 3.5 1.7 2.8

Weekend cabin 0.5 0.3 0.2Vacation 0.2 0.2

Work 5.6 2.9 4.2

Visit 1.8 0.7 1.0

More than half of the subjects reported that they had changed their travel behaviour and

their way of driving to match the specific attributes of the EV. They also perceived the

driving range per charge to be about 65 kilometres, which actually is a very correct figure.

About 70 % of the subjects perceived this range per charge as too short. They meant that a

driving range per charge should be, at least, about 130 kilometres even though they, at the

same time, thought that the EV had fulfilled their travel needs and their expectations (about

90 %, for both). The subjects reported that they had used the EV for both city and country

driving and for all types of trips. About 60 % of the subjects believed that they would have

used fast recharging facilities if it had been accessible. Moreover, the subjects perceived the


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EV as more quiet than their own cars and as having enough passenger space but as having too

small cargo space.

The subjects were also asked if they had had to give up any car trips because of the

specific product attributes of the EV and if they had had any problems regarding driving

range, recharging, and cargo space. About 15 % of the subjects stated that they had had to

give up car trips, 30 % that they had had problem with the limited driving range, 5 % that they

had had problem with the relatively long recharging time, and 25 % stated that they had had

problem with the limited cargo space. Furthermore, more subjects could imagine themselves

as EV-owners rather than EV-leasers (about 65 % and 25 %). Only 5 subjects were willing to

pay more (on average US$ 1,000) for an EV than for a conventional vehicle of the same make

and model. The EV was perceived as most suitable as a second-car in a multi-car household

and that mainly its driving range and recharging time needed further attention.

3.4 Effects of marketing strategies

Before and after the subjects took part in the different marketing strategy groups the

subjects beliefs about the compatibility and relative advantages as well as their attitudes and

buying intentions regarding the EVs were measured on 9-point agree-disagree scales by

means of written questionnaires. A word of caution about the before-measures may be in

order. The measures registered before and after differ in their reference point. The before

measures refer to an EV described only in general terms, with no specific make reference, and

as being identical in appearance to a conventional car. Further, on this occasion buying

intention is measured on the condition that the EV costs exactly the same as an otherwise

similar conventional car. The reference point of the after measures is the EVs that the subject

had been exposed to. The reference points in the after situation differed between the M-EV99

marketing program group and the two others. Whereas the two trial groups were exposed to a

specific EV make, the M-EV99 marketing program group was exposed to three makes.

Hence, subjects' perceptions about EVs are bound to be more influenced by a specific make in

the two trial groups than in the M-EV99 marketing program group, and substantially more

than in the before cases. On the other hand, it is likely that this difference is somewhat

dampened due to the fact that this is the first time any of the subjects tried or collected

information about an EV and that the presented EVs in all groups were quite similar.

In Table 8 the mean average of the subjects beliefs about compatibility and relative

advantages as well as attitudes and buying intention regarding the EVs before and after


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the presented EVs). Moreover, the subjects that participated in the free trials all had children,

which quite often calls for larger cargo capacities to, for instance, carry prams and several

shopping bags at the same time.

Yet, the M-EV99 program seemed to be able to elicit somewhat more favourable

responses regarding the EV than the others. Since this strategy also is inexpensive, easy to

access, and has the potential of providing a user personalized information it might quite well

have a decent chance of reaching and making costumers aware of, and interest in, the electric

alternative. However, to actually sell an EV is another matter. The showroom visits and the

free trials, which gave the subjects hands-on experience with a specific EV make, seemed to

induce resistance against rather than improved interest in the EV. A reason to this might be

the earlier mentioned lack of compatibility between the subjects values (an unpopular vehicle

make), norms (families with children in this culture do not have small vehicles), and

behaviours (the need for large cargo space). However, it is still quite possible that an EV such

as the one presented in this study better suits other segments of the car market. Therefore,

another segment with a life situation more compatible with the specific attributes of the used

EV, the Renault Clio Electrique, was selected for further clarifications.

4. Market segment II: Owners of a conventional Renault Clio

From February to December 2000, a random sample of 800 owners of a conventional

Renault Clio, or an equivalent car, in the metropolitan area of Gteborg, Sweden, was

contacted by mail. The target person was asked to fill out and mail back a notification of

interest for participation in studies about EVs. In this segment the same subjects participated

in all three marketing strategy groups, insofar as they themselves did not chose not to. Two

hundred and fifty-six target persons returned useful notifications were and those younger than

60 years that were able to recharge an EV at home were contacted. Of those, 47 ran the M-

EV99 marketing program, 39 visited the showroom, and, finally, 32 were given an EV for a

3-week free trial. The main reason for quitting was that the study was perceived to be too time

and effort consuming. During the study period the subjects were asked to substitute their

conventional Renault Clio, or its equivalent, with the EV and to log total travel distances with

both own cars and the EVs. They were also asked to specify all trips made with own cars

instead of with the EVs.


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Table 9. Demographic characteristics of the subjects in Marketing segment II.

M-EV99 (n=47) Showroom visit (n=39) Free trial (n=32)

Age46.7 45.5 44.9

Females (%) 51.1 51.3 50.0

Families with children (%) 48.9 56.4 59.4

University degree (%) 46.8 48.7 46.9

Multi-car families (%) 72.3 79.5 81.3

Table 9 shows that the subjects in the M-EV99 group in Market segment II somewhat

less often were parents and that they more often had an only car in the family. The subjects

that dropped the study after they had run the M-EV99 program and after they had visited the

showroom were most often older, childless, and just owned an only car. Compared with the

subjects in Market segment I, the subjects in Market segment II are somewhat older, more

educated, and it is more common that they own more than one car Moreover, those subjects

that did quit after the M-EV99 marketing strategy and after the showroom visits were the

older, the childless, and those who owned an only car.

Before entering the first step, the M-EV99 program, the background variables

innovativeness and environmental concern were measured (Table 10). The Table shows that

there were no differences in innovativeness or in environmental concern between those

participating in the first, second, or last step. Moreover, these subjects did not differ from

those in Market segment I.

Table 10. Background variables in Market segment II.


Innovativeness1 (M) 2.9 2.9 2.8

Environmental concern2 (M) 8.0 8.0 8.0




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4.1 Using the M-EV99

The subjects in Market segment II were, in contrast to the subjects in Market segment I,

more interested in the Renault make even though they spent more time on the Peugeot make

(Table 11). The greater interest in the Renault make might be explained by the fact that the

subjects in this segment themselves were owners of a car of this make. Similar to the subjects

in Market segment I these subjects most often chose the text-based media type and most time

was also spent on this media type. Moreover, they also preferred the fact sheet before the

newspaper article even though most time was spent on the newspaper article. However, none

of these differences were significant but a significant interaction effect was reached for gender

and media type (F(1, 190)=7.4,p


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believed, just as the subjects in Market segment I did, that the EVs recharging time was

shorter and the EVs driving range longer. Males were also here somewhat more

knowledgeable about EVs than females.

Table 12. Percentage of correct knowledge answers in Market segment II.

Knowledge items M-EV99 Showroom visit Free trial

Maximal top speed 23.4 23.1 21.9

Recharging time 10.9 10.5 10.0

Driving range 12.8 12.8 15.6

Recharging operation 74.5 74.4 75.0

Electricity cost 29.8 35.9 37.5Daily maintenance 46.8 46.2 46.9

4.3 Using the EV

The total study period for the free trials in Market segment II was 3 weeks. During this

time the subjects were asked to substitute their own Renault Clio with the EV and to log all

trips they made with their own Renault Clio instead of the EV. They were also asked to log

total travel times per week with both own cars and the EVs. In this market segment the target

person expected to be the main user. They also expected the EV to differ from their own cars

with respect to acceleration, top speed, cargo capacity, and ability to fulfil their travel needs.

On average the subjects expected to be able to drive 90 kilometres before recharging. In

contrast to the subjects in Market segment I a majority of these subjects did not expect to have

to adjust their transportation behaviour or way of driving to the specific product attributes of

the EV.

During the study period the subjects (32 families) drove a total of 36,682 kilometres and

the EVs were driven a total of 17,953 kilometres (in about 50 % of the total) (Table 13). The

subjects own cars were used instead of the EVs in 2,473 kilometres. The main reason for

using own cars instead of the EVs were that the subject believed that the driving range needed

was too long (35.7 %), that the EV already was in use (19.1 %), that the batteries were out of

energy (17.6 %), and that the cargo space needed was too small (16.6 %). The EVs were most

often recharged at home (in 82.2 % of the recharges).


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Table 13. Mean average of driven kilometres per car and week in Market segment II.

Car 1 Car 2 EVs

Week km km km

1 148.5 131.3 226.3

2 183.1 138.2 194.8

3 212.2 147.5 210.9

Compared with the experiences of problems related to the EVs specific product

attributes; limited driving range and cargo capacity and relatively long recharging time, in

Market segment I a larger percentage of the subject in this segment reported that they had

problems with the limited driving range (55 %) and the long recharging time (10 %) and

about 30 % of the subjects also reported that had had to give up some trips. On the other hand,

only about 15 %, compared to 25 % in Market segment I, of the subjects reported that they

had had problems with the EVs smaller cargo capacity.

Most of the subjects thought that the EV had fulfilled their travel needs and their

expectations (about 90 %, for both). I in this market segment n this market segment the

subjects also were asked to define the concept Pleasure of driving in their own words and to

rate on 5-point agree-disagree scales how pleasant, compared to their conventional Renault

Clio, or its equivalent, they perceived the EV to be (Table 14). The results show that more

than 80 % of the subjects thought that driving the EV gave the same or more pleasure than

their conventional Renault Clio, or its equivalent, did. The subjects definition of the concept

Pleasure of driving most often included words like reliable, ease of use, ease of

maintenance, comfort, noiselessness, and speed.

Table 14. Pleasure of driving in Market segment II.

Statement % of subjects

Driving the Renault Clio Electrique has given me less pleasure thandriving my own conventional Renault Clio.

19.4

Driving the Renault Clio Electrique has given me the same pleasure asdriving my own conventional Renault Clio.

32.3

Driving the Renault Clio Electrique has given me more pleasure than

driving my own conventional Renault Clio.48.4


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Fewer subjects than in Market segment I could in this segment imagine themselves as

EV-owners (55 %) and even fewer could imagine themselves EV-leasers (20 %). Only 5

subjects were willing to pay more (on average US$ 1,000) for an EV than for a conventional

vehicle of the same make and model. The EV was perceived as most suitable as a second-car

and that mainly its driving range and recharging time needed further attention.

4.4 Effects of marketing strategies

The subjects beliefs about the compatibility and relative advantages as well as attitudes

and buying intention regarding the EVs were measured in the same way as in Market segment

I and the same word of caution about the measures is also applicable. In Table 15 the mean

average of the subjects beliefs about compatibility and relative advantages as well as their

attitudes and buying intention regarding the EV before and after participation in the different

marketing strategy groups are shown.

Table 15. Mean averages of beliefs about compatibility, relative advantage, attitudes andbuying intention before and after participation distributed over marketing strategy groups inMarket segment II.


Before After Before After Before After

Compatibility

Useful for work trips 7.2 8.8 7.1 6.3 6.9 6.6

Useful for shopping trips 6.8 8.5 6.7 6.7 6.4 6.2

Useful for chauffeuring 6.8 8.2 6.8 5.6 6.6 6.1

Useful for shorter leisure trips 7.0 8.6 6.8 6.5 6.6 6.6

Useful for longer leisure trips 3.4 2.8 3.3 2.4 3.5 1.9

Relative advantageEase of use 5.9 7.2 6.1 6.6 6.0 7.0

Safety 5.0 4.2 5.0 4.7 5.1 4.5

Attitudes

Attractiveness 5.4 6.9 5.3 5.9 5.3 5.7

Uniqueness 5.1 5.4 5.0 5.3 4.9 5.5

Buying intention 5.6 6.0 5.9 5.1 5.4 4.5

Agree-disagree scales from 1 to 9 with a higher number indicating a more favouring position.


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The Table shows that the subjects in Market segment II were, compared to the subjects

in segment I, initially less positive about the compatibility and the relative advantages

regarding the EV and they also favoured it less but were as interested as the subjects in

Market segment I in buying it. After the subjects had ran the M-EV99 program their

perceptions regarding the EV changed in favour for the EV. Significant differences between

the before and after conditions were found for useful for work, shopping, chauffeuring,

shorter leisure trips, and attractiveness (F(1, 92)=26.8, p


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they were themselves owner of a car of the same make and size. Moreover, very few of the

subjects in this segment claimed that they had had any problems with the cargo space. Thus, it

should, in contrast to the former segment, have been compatibility between the subjects

values, norms, and behaviours. However, left are the other specific product attributes, namely

the limited driving range and the relatively long recharging time, which the subjects in this

segment like in the former claimed that they had had problems with and which they also

meant needed further attention.

5. Initial marketing segments

Based, as they are, on a random selection of car-owners, the analyses described above

tell how the average car-owner in the studied segments responds to the marketing strategy

groups. However, successful marketing is not targeted at the average consumer, but at the

most promising segment(s). When launching a new product, the most promising segment

consists of those perceiving the best match between their needs, wants, and self-perception

and the new product (Goldsmith et al., 1991; Midgley & Dowling, 1978; Ram & Jung, 1994).

For the segmentation of Gothenburg car-owners, the subjects background variables

innovativeness and environmental concern, and gender, education, car ownership, and

parenthood were used to analyse perceived attractiveness, usefulness for shorter and longer

trips, and buying intentions of an EV.

Table 16. Percentage of males and females, subjects with and without a university degree,subjects with more than 1 car and with 1 car, and subjects with and without children high inattractiveness, usefulness, and buying intentions distributed over innovativeness, andenvironmental concern.

Innovativeness Environmental concern

Attractive Short trips Long trips Buy Attractive Short trips Long trips Buy

Male 5.0 11.3 1.4 0.7 18.6 44.3 0.0 12.9

Female 4.1 6.6 4.9 2.5 17.2 50.0 0.8 15.6

University degree 5.7 12.2 2.4 2.4 17.9 52.8 0.8 14.6

College degree 3.1 6.3 3.1 0.8 16.4 41.4 0.0 14.8

Multi-car 7.0 12.7 1.3 2.5 17.2 43.3 0.0 10.2

Single-car 1.0 3.8 4.8 0.0 19.0 52.4 1.0 20.0

Children 8.1 12.8 4.6 3.5 24.4 45.3 1.2 17.4

Childless 2.8 7.4 1.7 0.6 14.8 47.7 0.0 12.5


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purchasers. Finally, also further attention to the specific limitations of the EV, e.g. driving

range and recharging time should be paid, which means that improvement of the battery

technology now really must be given a high priority to facilitate a successful introduction of

the electric alternative on the general market, which, without no doubt, is an imperative

necessity.

7. Acknowledgement

This research was financially supported by grants from the Swedish Communications

and Transport Research Board (# 1999-621 and 1999-473). As in all research many have been

involved and many have been supportive in many different ways, though, some more than

others, thus, thanks to Mattias Lundberg, Amelie Gamble, Bjrn Berle, Anders Johansson,

and Ove Eriksson.

8. References

Chron, E. & Zins, M. (1997). Electric vehicle purchasing intentions: The concernover battery charge duration. Transportation Research A, 31, 235-243.

Fessel, G. (1995).Electrically propelled road vehicles. Institut for Marktforschung,Vienna, Austria.

Goldsmith, R. E. & Hofaker, C. F. (1991). Measuring consumer innovativeness.Journal of the Academy of Marketing Science, 19, 209-221.

Midgley, D. F. & Dowling, G. R. (1978). Innovativeness: The concept and itsmeasurement.Journal of Consumer Research, 4, 229-242.

Ram, S. & Jung, H.-S., 1994. Innovativeness in product usage: A comparison of earlyadopters and early majority. Psychology & Marketing 11, 57-67.

Rogers, E. M. (1983).Diffusion of innovations, 3rded. New York: Free Press.Urban, G. L., Weiberg, B. D., & Hauser, J. R. (1996). Premarket forecasting of really-

new products.Journal of Marketing, 60, 47-60.


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